Avenir Minerals invests in Canada Nickel

Canada NewsWire

Stock Symbol:

AEM (NYSE and TSX)

TORONTO , Aug. 28, 2026 /CNW/ -- Agnico Eagle Mines Limited (NYSE: AEM) (TSX: AEM) ("Agnico Eagle") announced today that Avenir Minerals Limited ("Avenir"), a wholly-owned subsidiary of Agnico Eagle, acquired 666,667 units ("Units") of Canada Nickel Company Inc. ("Canada Nickel") at a price of C$1.50 per Unit for total consideration of C$1,000,000.50 pursuant to a non-brokered private placement (the "Private Placement"). Each Unit is comprised of one common share of Canada Nickel (a "Common Share") and one-half of one common share purchase warrant of Canada Nickel (each whole common share purchase warrant, a "Warrant"). Each Warrant entitles the holder to acquire one Common Share at a price of C$2.25 for a period of 36 months following the closing date of the Private Placement.

On December 29, 2023, Agnico Eagle filed an early warning report disclosing that it owned Common Shares and Warrants representing approximately 12.0% and 15.6% of the then-issued and outstanding Common Shares on a non-diluted basis and partially-diluted basis, respectively. Thereafter, Canada Nickel completed certain dilutive securities issuances.

Immediately prior to the Private Placement, Avenir, together with its joint actor, Agnico Eagle, beneficially owned, or exercised control or direction over, 21,801,259 Common Shares and 7,960,629 Warrants, representing approximately 8.91% of the issued and outstanding Common Shares on a non-diluted basis and 11.78% of the issued and outstanding Common Shares on a partially-diluted basis (assuming the exercise of the Warrants beneficially owned, or over which control or direction is exercised, by Avenir at such time). Following the Private Placement, Avenir beneficially owns, or exercises control or direction over, 22,467,926 Common Shares and 8,293,962 Warrants, representing approximately 8.68% of the issued and outstanding Common Shares on a non-diluted basis and approximately 11.52% of the issued and outstanding Common Shares on a partially-diluted basis (assuming the exercise of the Warrants beneficially owned, or over which control or direction is exercised, by Avenir at such time), in each case, after giving effect to all other security issuances completed by Canada Nickel concurrently with the Private Placement.

Agnico Eagle and Canada Nickel are party to an investor rights agreement dated December 29, 2023, pursuant to which Agnico Eagle is entitled to certain rights, provided it maintains, directly or indirectly, certain ownership thresholds in Canada Nickel, including: (a) the right to participate in certain equity offerings and top-up its holdings in relation to dilutive issuances in order to maintain or acquire up to the greater of Agnico Eagle's then-current ownership interest and an ownership interest of 15.6% (on a partially-diluted basis) in Canada Nickel; and (b) the right (which Agnico Eagle has no present intention of exercising) to nominate one person to the board of directors of Canada Nickel.

Avenir acquired the Common Shares and Warrants as part of its strategy of acquiring strategic positions in prospective opportunities with high geological potential. Depending on market conditions, strategic priorities and other factors, Avenir and Agnico Eagle may each, from time to time, acquire (directly or indirectly, through one or more of their respective affiliates) additional Common Shares, Warrants or other securities of Canada Nickel or dispose of some or all of the Common Shares, Warrants or other securities of Canada Nickel that it owns at such time.